In April 2018, consumer prices rose by 0.2% over one month and by 1.6% year on year

In April 2018, consumer prices rose by 0.2% over one month and by 1.6% year on yearConsumer price index - final results - April 2018

In April 2018, the Consumer Prices Index (CPI) decelerated to +0.2% over one month,
after a rebound in March (+1.0%). This slowdown resulted from those, marked and seasonal,
in “manufactured product” prices (+0.1% after +2.1%) after a rebound in March due
to the end of winter sales. The prices of services (+0.1% after +0.4%) and food (+0.1%
after +0.4%) rose less than in March too. On the other hand, energy prices sharply
rebounded (+0.9% after −0.7%) in the wake of petroleum product prices.

Monthly change: 0.2% in April; Year-on-year change: +1.6%

In April 2018, the Consumer Prices Index (CPI) decelerated to +0.2% over one month,
after a rebound in March (+1.0%). This slowdown resulted from those, marked and seasonal,
in “manufactured product” prices (+0.1% after +2.1%) after a rebound in March due
to the end of winter sales. The prices of services (+0.1% after +0.4%) and food (+0.1%
after +0.4%) rose less than in March too. On the other hand, energy prices sharply
rebounded (+0.9% after −0.7%) in the wake of petroleum product prices.

Year on year, consumer prices increased by 1.6%, as in the previous month. Energy
prices sharply accelerated and those of food rose barely more than in March. Services
prices rose at the same pace than in the previous month and those of “manufactured
products” fell as in March.

Slight drop in core inflation year on year

Year on year, core inflation barely dropped: +0.8% after +0.9% in the previous month.
The Harmonised Index of Consumer Prices (HICP) sharply slowed down to +0.2% after
+1.1% in March; year on year, it grew by 1.8%, after +1.7% in the previous month.

Acceleration in energy prices year on year

Energy infation sharply gathered pace in April 2018 (+6.3% year on year after +5.0%),
due to a stronger rise in petroleum product prices (+10.7% year on year after +8.1%)
in the wake of Brent prices and the implementation of the TICPE for liquid fuels (butane,
propane) since the 1st April. On the other hand, gas prices slightly slowed down (+0.5% year on year after
+0.8%).

tableau Table1 – Detailed figures for various groups

2015: 100

Detailed figures for various groups

Items

Weight

Index

Percentage change

2018

April 2018

m-on-m change(2)

y-on-y change(3)

a) All households

Overall

10000

102.92

0.2

1.6

Overall SA(1)

10000

102.73

0.1

1.7

Food

1627

102.72

0.1

1.6

Fresh food

243

109.76

−0.1

3.9

Other food

1384

101.59

0.1

1.2

Tobacco

193

119.96

0.0

16.5

Manufactured products

2594

99.41

0.1

−0.3

Clothing and footwear

416

103.64

0.8

−0.6

Medical products

425

92.84

−0.3

−2.4

Other manufactured products

1753

100.06

0.0

0.2

Energy

777

110.54

0.9

6.3

Petroleum products

408

116.54

2.0

10.7

Services

4809

103.08

0.1

1.4

Actual rentals and services for dwellings

764

101.69

0.0

0.5

Health services

617

102.40

−0.2

1.7

Transport

282

102.99

4.4

1.2

Communication

223

99.12

0.0

−0.5

Other services

2923

103.93

−0.2

1.7

Total except rents and tobacco

9192

102.71

0.2

1.4

Total except tobacco

9807

102.59

0.2

1.3

b) Urban working-class households or households of employees

All products excluding tobacco

9706

102.46

0.2

1.3

c) Households that belong to the lowest equivalized disposable income quintile -
France

All products excluding tobacco

9700

102.36

0.3

1.3

(1) seasonally adjusted

(2) [m/(m-1)]

(3) [m/(m-12)]

Geographical coverage: France excluding Mayotte

Source: INSEE - Consumer Price Indices

Slight rise in food inflation

In April 2018, food prices rose by 1.6% year on year, barely more than in March (+1.5%).
The prices of fresh products sharply accelerated after a rebound in March (+3.9% year
on year after +2.8%), in line with a stronger rise in prices of fresh fishes (+2.4%
after +1.0%), fresh vegetables (+5.8% after +4.2%) and fresh fruits (+6.8% after +6.2%).
Excluding fresh products, food prices were up by 1.2% year on year, as in February
and March.

Tobacco prices increased by 16.5% year on year after +16.6% in March.

Stability in services inflation

Year on year, services prices rose by 1.4% as in March. Airfares sharply fell back
(−0.9% year on year after +1.0%): over a month, the seasonal rebound was less pronounced
than in April 2017 (+9.0% against +11.1%). Moreover, the prices of health services
(+1.7% year on year after +2.0%), those of actual rentals and services for dwellings
(+0.5% after +0.6%) and accommodation services (+3.2% after +5.6%) slowed down. On
the other hand, the prices of passager transport by road strongly gathered pace (+4.3%
year on year after +1.8%): air and rail transport users have turned to these services
due to strikes. Insurance prices rose too stronger (+2.3% after +2.0%). Lastly, communication
services prices decreased by 0.5% year on year, as in March.

Further drop in manufactured products prices year on year

Year on year, “manufactured product” prices dropped by 0.3% for the second consecutive
month. Clothing and footwear prices dropped a little more than in March (−0.6% year
on year after −0.5%), due to a slowdown in footwear prices (+0.1% after +0.6%) whereas
clothing prices dropped by 0.8% as in March. The prices of “other manufactured products”
barely decelerated (+0.2% year on year after +0.3% in the four previous months). Motor
cars prices rose more moderately (+1.0% year on year after +1.2%) and those in furniture
were stable after +0.2% in March. The drop in information-processing equipment prices
was stronger (−4.0% after −3.6%). On the other hand, household appliances prices fell
less than in the previous month (−1.2% year on year after −1.9%), as prices in equipment
for sport (−0.4% after −0.6%). Moreover, heatlh product prices dropped at the same
pace as in February and March (−2.4% year on year).

(1) Core inflation indicator excludes public sector prices, the most volatile consumer
prices and the tax measures. Seasonally adjusted, this index is calculated for all
households in France excluding overseas departments and territories. (in French “indice
d'inflation sous-jacent - ISJ”)

(2) HICP: Harmonised Indices of Consumer Prices are inflation figures designed for
international comparison between Member states of the European Union. This index is
calculated for all households in France excluding Mayotte.

(3) [m/(m-1)]

(4) [m/(m-12)]

Source: INSEE - Consumer Price Indices

Revisions

Compared with the provisional estimates published on April 27, 2018, the month-on-month
changes in the CPI and in the HICP are up by 0.1points. Their year-on-year changes
are confirmed.